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Title: Bybit collateral deduction Post by: Oshosondy on December 14, 2023, 11:15:52 AM I do not know if I should open this on exchanges or trading discussion, because this is about Bybit unified trading account, using unstable coins as collateral.
If you have bitcoin as collateral and you are losing using the USDC or USDT margin on the exchange, you will see negative balance in USDC or USDT respectively on your unified account. If your assets have been liquidated, it will become zero. But if not liquidation, your assets will all still be seen and going in the direction your coin price is going. If the position opened is left for months, will you asset won't be deducted from? So far you have your position still opened without liquidation? Title: Re: Bybit collateral deduction Post by: hd49728 on December 14, 2023, 02:26:56 PM I did not use Bybyt and Unified Trading account on Bybyt but I have opinion after reading their information about it.
Bybyt Unified Trading Account (https://www.bybit.com/en/promo/events/unified-trading-account) is like all in one with Isolated Margin, Cross Margin, Portfolio Margin. With those types, they will charge you trading fees when you let your positions open and open longer, you will have to pay more trading fees. Do you think if you let your position opens for 2 months, will the increase of that token price be enough to cover your trading fee? With margin, you might be in a hilarious situation. You hold ETH and use it as your margin collateral but when you see ETH rises a lot, you open a Short position. The funny but painful story is here: ETH rises, your portfolio value increases but you are in loss and can be liquidated with your Short position. Title: Re: Bybit collateral deduction Post by: Oshosondy on December 16, 2023, 10:14:20 AM Bybyt Unified Trading Account (https://www.bybit.com/en/promo/events/unified-trading-account) is like all in one with Isolated Margin, Cross Margin, Portfolio Margin. With those types, they will charge you trading fees when you let your positions open and open longer, you will have to pay more trading fees. After the trading fee is charged based on percentage of the amount that you want to trade, no other trading fee is charged. The only other fee is the funding fee which might be given you or charged you and it is every 8 hours. Do you think if you let your position opens for 2 months, will the increase of that token price be enough to cover your trading fee? With margin, you might be in a hilarious situation. You hold ETH and use it as your margin collateral but when you see ETH rises a lot, you open a Short position. The funny but painful story is here: ETH rises, your portfolio value increases but you are in loss and can be liquidated with your Short position. Trade with the amount of money that you can afford to lose. This is not holding but trading.I think there won't be any deduction so far you are not losing much. But once it is getting to the point of liquidation, the negative USDC or USDT balance will be deducted from the bitcoin or other coin used as collateral. |